Iraqi Parliament eases financial sanctions on Kurdish region 

File photo: The Iraqi parliament voted to lift sanctions imposed on banks in the Kurdistan region. (AFP)
Updated 30 January 2018
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Iraqi Parliament eases financial sanctions on Kurdish region 

BAGHDAD: The Iraqi Parliament on Monday voted to lift financial sanctions on banks in the Kurdish region after private and government financial institutions accepted the authority of the Iraqi Central Bank and federal laws on the banking sector and control of funds to and from Iraq, lawmakers told Arab News.
The Kurdistan Regional Government (KRG) held a controversial referendum on independence in late September. Baghdad responded by imposing a series of punitive measures including stopping financial transactions between banks in the region and the Iraqi provinces.
The fourth months’-long sanctions deepened the economic crisis that has plagued the region for almost three years and led to a growing recession in wholesale markets in Baghdad.
Monday’s resolution stated that “the need for the previous (punitive) measures related to transactions with financial institutions in the Kurdistan Region taken by the Parliament has disappeared after the goal concerning the banks was achieved.”
“The resolution (the sanction) was taken by the Parliament as a response to the referendum, but now the KRG has confirmed its commitment to the laws and regulations of the Central Bank and the federal laws of money-laundering and money flowing to and from the region,” said Massoud Haider, a Kurdish federal lawmaker and a member of the parliamentary finance committee.
“The members of the (parliamentary finance) committee are convinced that keeping the sanction will encourage the black market and open the doors for terrorism organizations to take advantage of these markets to transfer money,” Haider said.
The resolution also obligates the Central Bank to monitor private and government banks operating in the region and deliver a monthly report to the parliamentary finance committee showing the level of commitment of these banks to federal laws and instructions of the Central Bank.
Baghdad has demanded the imposition of the authority of federal authorities in the region to ease the sanctions imposed since early October. Five joint technical committees were formed to agree on all pending issues between the two sides, including on oil, borders and airports, and to discuss mechanisms to impose the authority of the federal authorities on the region for the first time since 2003.
Kurdish lawmakers and finance experts told Arab News that the sanctions imposed by Baghdad had deeply affected the economy in the Kurdish region, paralyzed business transactions and stopped investment.
The parliamentary resolution will reduce pressure on the Kurdish region, which has been suffering from a serious shortage of funds due to the inability of the KRG to pay the salaries of government employees for more than two years because of financial and administrative corruption and the acquisition by a few families of oil and border crossings revenues.
“The resolution is bold and shows a breakthrough in relations between the KRG and Baghdad and will positively reflect on the economy in Kurdistan and Baghdad,” Bassim Antwan, an Iraqi finance expert, told Arab News.
“The sanctions have deeply impacted the economy in the region and caused huge money losses to private companies and people who invest in Kurdistan, and affected the prices of the real estate.
“Also, the economic recession which engulfed Kurdistan before the sanctions and intensified after that has extended to impact the wholesale markets in Baghdad and other provinces, and this resolution will revive these markets in hours,” Antwan said.


‘Wanted for treason’: How Aidarous Al-Zubaidi betrayed Yemen and his own cause

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‘Wanted for treason’: How Aidarous Al-Zubaidi betrayed Yemen and his own cause

 

 

RIYADH: At a time when he should have acted like a statesman and boarded the plane scheduled to take him to Riyadh on Tuesday evening to meet and shake hands with Yemeni President Rashad Al-Alimi — agreeing to prioritize the interests of the Yemeni people and seek forgiveness for actions taken for personal gain at the expense of the nation — Aidarous Al-Zubaidi chose instead a “no-show,” cementing his image as a traitor to his country. Not only that, but he confirmed this by opening weapons depots and attempting to incite chaos in an “after me, the deluge” fashion. This was revealed by Yemeni Information Minister Moammar Al-Eryani a few days ago in a post on X, where he exposed these destabilizing actions.
For those unfamiliar with him, Al-Zubaidi is the head of the Southern Transitional Council, which seeks the secession of southern Yemen. Despite efforts by the Yemeni government and the Coalition to Support Legitimacy in Yemen to contain him for years — and despite many, including other southern representatives, disagreeing with his approach to the matter — Al-Zubaidi acted as an opponent and saboteur of the Yemeni government, even while serving within it as a prominent member.
Although Saudi Arabia, which leads the coalition, has affirmed the legitimacy of the southern cause and its commitment to supporting whatever Yemenis agree upon, Al-Zubaidi chose narrow self-interest, aligning with foreign powers at the expense of his homeland and attempting to impose southern secession by force. His sole aim: to seize power for himself.
He went even further, reportedly using his forces and resources to destabilize Saudi Arabia — the neighboring country that has invested all its resources in mending Yemen’s divisions. He forgot that Riyadh, from which he fled, was the one that protected him and his allies from the Houthi coup and its brutal war.
Early on Wednesday, the coalition revealed that Al-Zubaidi had not arrived in Saudi Arabia as planned and had fled to an unknown location, leaving members and leaders of the STC without any information on his whereabouts. He was expected in Riyadh to attend a comprehensive conference uniting all southern factions. Hours later, the STC claimed that Al-Zubaidi was in Aden and still carrying out his duties. Yemen experts told Arab News that Al-Zubaidi is more likely to be hiding in Al-Dhale, the mountainous area from which he hails. Other reports suggest he might have fled overnight to Somaliland in a tiny boat.
Further details from the coalition’s statement on Wednesday said Al-Zubaidi fled after distributing weapons and ammunition to dozens of elements in Aden, aiming to stir unrest in the city in the coming hours.
Meanwhile, the Yemeni Presidential Leadership Council, headed by Al-Alimi, held an emergency meeting attended by members Sultan Al-Arada, Tariq Saleh, Abdulrahman Al-Muharrami, Dr. Abdullah Al-Alimi and Othman Mujalli.
The council decided to revoke Al-Zubaidi’s membership and refer him to the attorney general on charges of high treason, harming Yemen’s political and economic standing, obstructing state efforts against the coup, and inciting internal strife.
The meeting also resolved to dismiss Transport Minister Abdulsalam Humaid and Minister of Planning and International Cooperation Waed Badhib from their posts and refer them for investigation. It called for the pursuit and arrest of those involved in distributing weapons and threatening civil peace, stressing that the state will act firmly against any violations to uphold the rule of law and protect public rights and freedoms.
Notably, the meeting revealed internal divisions within the STC, as one of its prominent members, Al-Muharrami, attended the Presidential Leadership Council meeting that voted to strip Al-Zubaidi of his membership and refer him for investigation.
Al-Muharrami also deployed his Giants Brigades forces to prevent security breakdowns in Aden, in coordination with the legitimate Yemeni government, following the coalition’s announcement of Al-Zubaidi’s escape and his attempt to escalate tensions in Al-Dhale Governorate.
With the council’s declaration that Al-Zubaidi is now wanted to face justice, not only has his mask and immunity fallen, but the council has also sent a clear message: Everything is open for discussion — except treason.
What happens next in Yemen? According to a political analyst close to decision-makers in the council, it is important to focus on what Al-Eryani tweeted days ago about Al-Zubaidi’s followers attempting to use the “return of Al-Qaeda” as a scare tactic.
The analyst added: “Ironically, Al-Zubaidi himself has done the most to aid extremist groups by trying to create chaos. But these are desperate attempts that are bound to fail, thanks to several factors, including the presence of Saudi-trained Yemeni special forces, the readiness of the Islamic Military Counter Terrorism Coalition, and the very close, ongoing Saudi-American coordination that will keep extremists in check.”
The source continued: “Al-Zubaidi’s betrayal also served the Houthis, but the failure of his project and the resistance to it will serve as a reminder that the situation on the ground has changed since the early days of the war, when coalition air superiority was the only source of strength. Today, there is coordination, trained and unified Yemeni forces, and statesmen from all factions who believe Yemen has been exhausted by war — and that the best solution for everyone lies at the dialogue table … in Riyadh.”
As several Yemeni officials recently told Arab News, there is great optimism about the outcomes of the Riyadh dialogue, while Saudi Arabia continues to affirm at every opportunity that it will support whatever the Yemenis agree upon.